Which of the following represents how foxs financial, Financial Management

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Which of the following represents how foxs financial

In 2018, Fox. Co. performs 7,000 service hours on a $100,000 contract for which they received $20,000 cash in advance in the previous year, 2017. Fox estimates that it will perform 3,000 additional hours of service to complete the contract next year in 2019. Which of the following represents how Fox's financial statements will change based on Fox's entry for 2018 regarding this contract?

Assets: Increase Liabilities: Increase SE: Increase NI: Increase

Assets: Increase Liabilities: Decrease SE: Increase NI: Increase

Assets: Increase Liabilities: Decrease SE: No Effect NI: Increase

Assets: Decrease Liabilities: Decrease SE: Increase NI: Increase

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